Solar Highway Market

Market Definition

The market focuses on the integration of solar energy technologies into road infrastructure by embedding photovoltaic panels in highways to generate electricity directly from sunlight. These systems are designed with tempered glass and anti-slip coatings to withstand vehicular pressure and weather exposure. 

Applications include powering road lights, traffic systems, electric vehicle charging points, and grid support. The report provides a comprehensive analysis of key drivers, emerging trends, and the competitive landscape expected to influence the market over the forecast period.

Solar Highway Market Overview

The global solar highway market size was valued at USD 383.7 million in 2024 and is projected to grow from USD 492.6 million in 2025 to USD 2841.8 million by 2032, exhibiting a CAGR of 28.43% during the forecast period. 

The market is expanding due to the growing adoption of smart roads and intelligent traffic systems, which require reliable and renewable power sources. Additionally, increasing focus on energy decentralization is fueling the use of highway infrastructure for localized power generation, supporting market development.

Major companies operating in the solar highway industry are Solar Roadways, Coqlas, Solmove GmbH, Solar Earth Technologies Ltd., Innovatív Térburkolatfejlesztő Kft., Beijing Wistron Technology Ltd, Envision Group, SolaRoad BV, Hanergy, SolarPath USA, NOKIN Traffic Facilities Co., Ltd., SWARCO, Solapave Pty Ltd., Carmanah Technologies Corp., and SolarPath Sun Solutions.

Governments and private developers are increasingly integrating renewable energy into public infrastructure. Roads equipped with photovoltaic panels are transforming passive surfaces into active energy assets, supporting energy transition goals and enhancing resource efficiency. 

The shift toward sustainable development in transport networks is contributing to the growth of market by transforming traditional infrastructure into multifunctional, energy-generating systems.

• In March 2025, the European Union's Liaison project introduced an innovative photovoltaic guardrail system on highways near Erbusco, Italy. Integrated with ultra-thin solar panels, the system generates approximately 25 megawatt-hours of electricity per kilometer annually, sufficient to power 20 households. In addition to energy generation, the guardrails enhance road safety and support roadside operations such as traffic signals and street lighting.

Key Highlights

1. The solar highway industry size was valued at USD 383.7 million in 2024.
2. The market is projected to grow at a CAGR of 28.43% from 2025 to 2032.
3. North America held a market share of 34.09% in 2024, with a valuation of USD 130.8 million.
4. The solar panels segment garnered USD 161.8 million in revenue in 2024.
5. The roadways segment is expected to reach USD 1094.1 million by 2032.
6. The private entities segment secured the largest revenue share of 37.74% in 2024.
7. Asia Pacific is anticipated to grow at a CAGR of 29.62% over the forecast period.

Market Driver

Growing Adoption of Smart Roads and Intelligent Traffic Systems

The adoption of intelligent transportation systems contributes to the deployment of solar highway infrastructure. These systems require consistent and renewable power sources to operate sensors, surveillance, and communication devices. 

Solar highways provide a dependable and clean energy source, contributing to their feasibility. The convergence of smart road technologies and energy harvesting infrastructure is fostering the growth of the solar highway market.

• In July 2024, Cavnue, a subsidiary of Sidewalk Infrastructure Partners, converted a three-mile section of Interstate 94 in Michigan, USA into a smart highway. This pilot project features technology poles every 200 meters equipped with sensor and compute pods, along with advanced communications systems. The initiative aims to reduce congestion and emissions by alerting both human and automated drivers to upcoming traffic slowdowns.

Market Challenge

High Installation and Maintenance Costs

A significant challenge hindering the expansion of the solar highway market is the high cost of installation and ongoing maintenance. Road-embedded solar panels endure heavy wear from traffic, weather, and debris, requiring durable materials and frequent servicing. This increases both upfront and long-term expenses, limiting large-scale deployment.

To address this challenge, key players are investing in robust panel designs, modular systems for easier replacement, and integrated monitoring technologies to reduce manual inspections. Strategic partnerships and pilot projects are also helping lower development risks and refine cost-effective models, allowing for more practical implementation in future infrastructure planning.

Market Trend

Increased Focus on Energy Decentralization

The shift trend toward decentralized energy systems is transforming regional power generation and distribution. This trend supports the use of distributed solar installations across infrastructure projects. 

Solar highways align with this model by enabling localized energy production, minimizing transmission losses, and reducing dependence on centralized grids. Their seamless integration into local energy ecosystems enhances energy resilience and autonomy, making them increasingly relevant in regions seeking energy independence.

• In August 2024, the Australian Government granted environmental approval for SunCable's Australia-Asia Power Link, a major renewable energy project. It involves a large solar farm in the Northern Territory, an 800 km transmission line to Darwin, and a 4,300 km subsea cable to supply power to Singapore. The project exemplifies the potential of decentralized energy systems to meet domestic and international energy needs.

Solar Highway Market Report Snapshot

Segmentation	Details
By Component	Solar Panels, Inverters, Others
By Application	Roadways, Foot Path/Bike Path, Parking Lots
By End User	Government & Public Infrastructure, Private Entities, Individuals
By Region	North America: U.S., Canada, Mexico
	Europe: France, UK, Spain, Germany, Italy, Russia, Rest of Europe
	Asia-Pacific: China, Japan, India, Australia, ASEAN, South Korea, Rest of Asia-Pacific
	Middle East & Africa: Turkey, U.A.E., Saudi Arabia, South Africa, Rest of Middle East & Africa
	South America: Brazil, Argentina, Rest of South America

Market Segmentation

• By Component (Solar Panels, Inverters, and Others): The solar panels segment earned USD 161.8 million in 2024, mainly due to its central role in energy generation and its impact on project value and investment returns.
• By Application (Roadways, Foot Path/Bike Path, and Parking Lots): The roadways segment held 38.45% of the market in 2024, largely attributed to its extensive surface availability and seamless integration with transportation infrastructure.
• By End User (Government & Public Infrastructure, Private Entities, and Individuals): The private entities segment is projected to reach USD 1061.1 million by 2032, owing to its higher investment capacity, faster decision-making processes, and focus on integrating renewable infrastructure for commercial returns.

Solar Highway Market Regional Analysis

Based on region, the market has been classified into North America, Europe, Asia Pacific, Middle East & Africa, and South America.

The North America solar highway market share stood at around 34.09% in 2024, valued at USD 130.8 million. The regional market is benefiting from large-scale federal infrastructure initiatives that include renewable energy targets. 

Programs such as the U.S. Infrastructure Investment and Jobs Act promote clean transportation corridors, with solar-integrated roadways planned for lighting, signage, and EV charging. These initiatives enhance the financial and logistical feasibility of solar highway projects, promoting broader adoption across interstate and local highways.

Moreover, the expansion of electric vehicle charging infrastructure along highways is a central focus in North America. Agencies such as the U.S. Department of Transportation and the Department of Energy have identified strategic EV charging corridors. 

Solar highways present an efficient solution to power these stations without straining the grid. Their alignment with clean mobility goals makes them a major component of future-ready road networks, supporting greater EV adoption.

• In January 2025, the U.S. Department of Transportation’s Federal Highway Administration (FHWA) awarded USD 635 million in grants to enhance electric vehicle (EV) charging and alternative fueling infrastructure. Supported by the Bipartisan Infrastructure Law’s zero-emission refueling programs, the funding backs 49 projects aimed at installing over 11,500 EV charging ports, hydrogen, and natural gas fueling stations. These developments will cover transportation corridors and communities in 27 states, strengthening the national clean energy transport network.

The Asia-Pacific solar highway industry is set to grow at a robust CAGR of 29.62% over the forecast period. This expansion is fueled by rapid infrastructure growth, including new highways and urban developments. Governments and developers in the region are increasingly incorporating renewable energy solutions into these projects. 

Solar highways offer a sustainable way to generate clean energy without additional land, addressing growing electricity demand. This trend supports the rising adoption of solar highway technologies across the region.

• In August 2024, the Government of Uttar Pradesh, India approved a 450 MW solar project along the 296-kilometer Bundelkhand Expressway. Developed in collaboration with the Global Energy Alliance for People and Planet (GEAPP), this initiative aims to create India's first "solar expressway." It is expected to power approximately 60,000 households and support electric vehicle adoption by installing charging stations along the route.

Regulatory Framework

• In the U.S., the Federal Highway Administration (FHWA) oversees the use of highway rights-of-way (ROW) for renewable energy projects. Its "Renewable Roadside" initiative promotes the integration of solar energy into highway ROWs, ensuring safety and operational efficiency are maintained.

Competitive Landscape

Major players in the market are adopting strategies such as forming technology partnerships, developing modular solar-integrated systems, and targeting underutilized infrastructure spaces for renewable energy deployment. These approaches allow companies to address specific regional energy challenges and enhance the functionality of highway assets. 

By integrating solar power with energy storage and grid support technologies, they are offering scalable solutions tailored for electric vehicle charging and clean energy generation.

• In March 2025, E2SOL, a renewable energy developer, collaborated with Yotta Energy to launch the Smart Solar Highway Median (SSHM) Power Infrastructure System in the United States. This project converts underutilized highway medians into self-sustaining clean energy hubs by integrating solar generation, microgrid capabilities, and Yotta Energy's modular storage solution, the Yotta Block. It aims to address challenges in EV charging infrastructure, including high energy demand and grid constraints, with efficient, scalable energy solutions.

List of Key Companies in Solar Highway Market:

• Solar Roadways
• Colas 
• Solmove GmbH
• Solar Earth Technologies Ltd.
• Innovatív Térburkolatfejlesztő Kft.
• Beijing Wistron Technology Ltd
• Envision Group
• SolaRoad BV
• Hanergy
• SolarPath USA
• NOKIN Traffic Facilities Co., Ltd.
• SWARCO
• Solapave Pty Ltd.
• Carmanah Technologies Corp. 
• SolarPath Sun Solutions

Recent Developments (Partnerships/Agreements)

• In May 2025, Beijing Wistron Technology Ltd. completed the supply of over 10,000 solar road studs for a highway lighting project in the United Arab Emirates. Installed along a 25-kilometer stretch, these devices enhance night-time visibility and road safety, showcasing the practical benefits of solar-powered traffic markers.
• In March 2024, Colas, in partnership with CEA-INES, received IEC certification for its Wattway photovoltaic road technology. This certification confirms compliance with international photovoltaic standards, enhancing Wattway’s credibility and supporting its broader commercial deployment.
• In November 2024, Solapave Pty Ltd. integrated its solar-powered roadway system into the Mildura Rise Estate near Rockhampton, Australia. The system combines solar energy generation with battery storage within the road surface, supporting future applications such as dynamic EV charging.